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- NAB lifts fixed rates: last big four rate under 2% now gone
NAB lifts fixed rates: last big four rate under 2% now gone
Australia’s third largest bank, NAB, has today hiked fixed rates for the third time in just over five weeks – closing the door on the last big four rate under 2 per cent.
NAB increased its owner-occupier and investor fixed rates by up to 0.50 per cent, including its 1-year fixed rate, which was previously 1.99 per cent.
NAB hikes for owner-occupiers paying principal and interest
Please contact us for interest only and investor rate changes
| Loan | Old rate | New rate | Change | Monthly repayments – difference $500K loan |
| 1-year fixed | 1.99% | 2.49% | 0.50% | $127 |
| 2-year fixed | 2.34% | 2.59% | 0.25% | $65 |
| 3-year fixed | 2.79% | 3.09% | 0.30% | $81 |
| 4-year fixed | 2.89% | 3.29% | 0.40% | $109 |
| 5-year fixed | 3.09% | 3.49% | 0.40% | $110 |
Note: Above rates are for owner-occupiers paying principal and interest on a package rate with an annual fee of $395. Monthly repayments are based on a $500,000, 30-year loan over the fixed rate term.
Previous NAB owner-occupier fixed rate hikes:
- October 27: increased 2- to 5-year fixed rates by up to 0.20 per cent.
- November 11: increased 2- to 5-year fixed rates by up to 0.51 per cent.
Lenders that have moved at least one rate in the last 1 month (3 November to 2 December 2021)
| Lenders that have cut | Lenders that have hiked | |
| Variable | 48 | 7 |
| 1yr fixed | 15 | 34 |
| 2yr fixed | 13 | 56 |
| 3yr fixed | 2 | 65 |
| 4yr fixed | 4 | 41 |
| 5yr fixed | 6 | 57 |
Source: RateCity.com.au. Note: A number of lenders have changed multiple home loan rates
RateCity.com.au research director, Sally Tindall, said: “NAB was the last big four bank to hang on to a rate starting with a ‘1’, but the bank has succumbed to funding pressures just like its rivals.”
“The number of fixed rates under 2 per cent is fast disappearing,” she said.
“Six months ago, there were 166 fixed rates starting with a ‘1’, and now there are just 78, and the exodus is far from over.
“Borrowers who had already fixed their loans with NAB will be breathing a sigh of relief at this news, but it will be a very different situation when they come off their fixed rates.
“People looking to re-fix their loan in one- or two-years’ time are likely to be looking at rates starting with a ‘3’,” she said.
Lowest big four bank owner-occupier home loan rates
| CBA | Westpac | NAB | ANZ | |
| 1yr fixed | 2.49% | 2.24% | 2.49% | 2.29% |
| 2yr fixed | 2.59% | 2.24% | 2.59% | 2.39% |
| 3yr fixed | 2.99% | 2.59% | 3.09% | 2.79% |
| 4yr fixed | 3.09% | 2.89% | 3.29% | 2.99% |
| 5yr fixed | 3.39% | 3.09% | 3.49% | 3.19% |
| Variable | 2.29% | 2.19% | 2.29% | 2.29% |
Source: RateCity.com.au. Note: CBA and Westpac rates are for a loan to value ratio of up to 70%.
Lowest rates on the RateCity.com.au database
| Lender | Advertised rate | |
| 1yr fixed | Greater Bank, Bank of Us | 1.59% |
| 2yr fixed | Beyond Bank | 1.79% |
| 3yr fixed | MOVE Bank | 1.89% |
| 4yr fixed | BankVic, Southern Cross CU,
Credit Union SA | 2.39% |
| 5yr fixed | BankVic, QBank | 2.49% |
| Variable | Reduce Home Loans | 1.77% |
Source: RateCity.com.au Note: Rates are for owner-occupiers paying principal and interest. Some LVR requirements apply.
Disclaimer
This article is over two years old, last updated on December 2, 2021. While RateCity makes best efforts to update every important article regularly, the information in this piece may not be as relevant as it once was. Alternatively, please consider checking recent home loans articles.
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Product database updated 27 Apr, 2024
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